#How Will Cryptocurrency Regulations in Lithuania Affect Businesses?
Starting December 31, 2025, all crypto-asset activities in Lithuania must be conducted with a MiCA license. Not adhering to this new regulation will lead to such activities being classified as illegal. Consequently, crypto firms could face serious sanctions, including substantial fines, the blocking of their websites, and even criminal prosecution.
Any organizations that continue operating without the required MiCA license after this date will find themselves in violation of Lithuanian law. The repercussions can be severe, as non-compliance might result in both financial penalties and incarceration. Given these potential consequences, it is vital for crypto firms to act swiftly to ensure compliance.
#What Steps Are Authorities Taking?
In July, the Bank of Lithuania released guidance directed at crypto exchanges and wallet operators. This advice stressed the importance of winding down operations for those not planning to seek a MiCA license before the transitional period ends. The central bank emphasized that proactive measures are essential to protect investors while ensuring transparency as the European Union’s regulatory framework is implemented.
As it stands, over 370 companies have registered to offer crypto services in Lithuania, but only around 120 are actively filing financial statements, highlighting the disparity between registration and operational compliance. By mid-July, 30 companies initiated the process for acquiring a crypto-asset service provider license, with ten applications currently under review.
#How Should Affected Operators Proceed?
For crypto operators that intend to cease their operations, clear communication with customers is highly recommended. It is crucial to proactively inform clients about timelines for the winding down of services and outline precise steps for withdrawing or transferring their funds and crypto-assets. Additionally, operators should inform their clients about the possibility of converting their crypto-assets into currency stored with custodians.
Starting January 1, 2026, anyone providing crypto-asset services in Lithuania without a MiCA license will be breaking the law. Those found operating illegally could encounter serious penalties, including fines, blocked access to their websites, public warnings, and potential imprisonment for up to four years.